North Carolina Down Payment Assistance Systems

Online Merchant account - The North Carolina Housing Finance Agency got two amazing programs for first-time Home Buyers. These systems will be the Mortgage Credit Certificate and also the deposit Assistance Program.

You buy a home between December 1, 2009 and January 1, 2009 and if you meet the requirements for one of the programs, it is also possible to be eligible for the $8,000 tax credit only enacted into law in the Federal Economic Stimulus Plan.

First, who is a First Time Home Buyer? A first-time Home Buyer is someone who hasn't owned a house in the prior three years. That is exactly the same qualifying definition.

A Mortgage Credit Certificate (MCC) is a national tax credit to assist home buyers with average and low incomes. The MCC takes this a step further.

In case you qualify for the MCC, it is possible to claim 20% of the interest you pay on your own mortgage as a credit in your federal income taxes. You are able to save around $2,000 on your taxes.

You may be able to unite this should you qualify for the MCC, for 2009. This would reduce the tax liability of a buyer's by $10,000.

Who Qualifies for an MCC?

Household income means the “gross income of the mortgagor and every other person expected to live in the dwelling who is 18 years of age or older.”

The income and house price limits that apply in Orange, Durham and Chatham Counties are listed below.

MCC Income Limits 1 Person $61,500 2 Men $61,500 3 Men $70,500 4 Individuals $70,500

MCC Sales Price Limits New Dwelling $220,000 Existing House $210,000

Who Qualifies for Down Payment Assistance?

Home buyers that want help with their down payment and closing prices might be able to get down payment assistance - or, quite simply, interest-free, deferred second mortgages up to $8,000. The buyer only has to pay $1,000 of their own funds and the load would pay around .

This plan has stricter income limitations than the MCC program summarized above. Like the MCC application, it could be used in combination with all the new $8,000 tax credit on house purchases between January 1, 2009 and December 1, 2009. The deposit help, however, can't be utilized together with all the MCC. This is an either or situation.

House price limitations that apply in Orange, Durham and Chatham Counties and the income are given below.

Down Payment Assistance Income Limits

1 Man $39,950 2 Persons $45,650 3 Men $51,350 4 Persons $57,050

Down Payment Support Sales Cost Limits New Home $210,000 Existing Dwelling $210,000